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Nigerian banker and businessman Tony Elumelu has strengthened his hold on United Bank for Africa (UBA), one of the continent’s largest lenders, by raising his stake to more than 16 percent. With the position now valued at about $211 million, Elumelu ranks among the wealthiest investors on the Nigerian Exchange and stands out as one of the country’s richest individuals.
Tony Elumelu deepens commitment to UBA
The increase came after Elumelu, 62, chairman of Heirs Holdings, Transcorp Group and UBA, subscribed to successive rights issues launched by the bank between late 2024 and mid-2025. His backing supported strong uptake among shareholders and helped UBA move closer to meeting the Central Bank of Nigeria’s new minimum capital requirement of N500 billion ($333 million). Over the six-month period his stake rose from 7.43 percent at the end of 2024 to 16.38 percent by June 30, 2025. That translates to more than 4.17 billion additional shares worth N196.4 billion ($131.3 million) bringing his total to 6.72 billion shares.
The commitment reflects a pledge Elumelu made at UBA’s 62nd annual general meeting in June 2024. At the gathering, he urged shareholders to reinvest their dividends into the bank’s rights issue, noting he would commit 100 percent of his own payouts. “As you get your dividends, reinvest a significant part of it,” he told investors. “My group and I would be investing all of ours. If we don’t, we would be leaving food on the table for others who did not labour for it.”
UBA seeks more funds in extended rights offer
UBA has tapped investors repeatedly as part of efforts to meet the Central Bank of Nigeria’s recapitalization requirement. In November 2024, the bank opened a N239 billion ($159.2 million) rights issue priced at N35 ($0.0233) per share. Subscriptions totaled N251 billion ($167.2 million), and UBA accepted N240 billion ($169 million), pushing its capital base to N355.2 billion ($237 million).
To meet the CBN’s minimum capital requirement of N500 billion ($333 million) for international banks by March 2026, UBA announced another rights issue in July 2025. Through United Capital Securities, the lender applied to list 3.16 billion new ordinary shares at N50 ($0.0333) per share. The offer, initially set to close Sept. 5, was extended to Sept. 19 to allow more shareholders to participate.
UBA profit, assets jump in first half
Alongside the capital raise, UBA has reported solid financial results. For the first half of 2025, profit rose to N335.53 billion ($223.4 million), up from N316.36 billion ($210.6 million) a year earlier. Interest income climbed to N1.33 trillion ($886 million) from N1 trillion ($666 million), while fees and commissions edged higher to N253.6 billion ($169 million) from N250.6 billion ($167 million).
The stronger earnings lifted the bank’s balance sheet. Total assets increased by nearly N3 trillion ($2 billion) reaching N33.27 trillion ($22.1 billion) as of June 30, 2025 from N30.32 trillion ($20.2 billion) at year-end 2024. Shareholders’ equity rose to N4.22 trillion ($2.81 billion) from N3.42 trillion ($2.27 billion), while retained earnings climbed to N1.61 trillion ($1.07 billion). Based on the results, directors proposed an interim dividend of N0.25 ($0.000166) per share, payable Oct. 3 to shareholders on record.
